Bitcoin may be better than gold

Source: Sina Finance Jeffrey gundlach, chief executive of double line capital and known as the “new king of debt”, has changed his view of the currency. Bitcoin may be a better trading partner than gold, he said on Thursday. “I don’t believe in bitcoin,” gunak said on social media on Thursday: “bitcoin may be a stimulus asset. It doesn’t look like gold. ” The change comes as the price of bitcoin has soared from $10000 to more than $52000 in the past few months, hitting new highs recently. Bitcoin prices have soared in the past 11 months, and the cryptocurrency has significantly higher returns than gold in the face of massive monetary and fiscal stimulus measures around the world in response to the economic slowdown triggered by the new crown epidemic. Gold prices reached a record $2075 in August 2020 and have been on a downward trend ever since. Gonlak points out that he has been neutral on gold for the past six months, after having been a gold bull. When bitcoin rose to more than $23000 in early January, he said it was in “bubble territory.”. Bitcoin prices continued to rise, helped by publicly listed companies such as Tesla, a fortune 500 company, and MicroStrategy. In the past few months, these companies have used bitcoin as reserve assets. Analysts at JPMorgan said in December that the growing popularity of bitcoin could be related to the price of gold. While the cryptocurrency sector is widely expected to see more companies follow Tesla’s decision to buy bitcoin, investment banks wedbush and J.P. Morgan believe that bitcoin’s widespread acceptance remains elusive for some time.

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